The 21-year-old Sporting Lisbon academy product, who has scored three times for the Primeira Liga side this season - has signed a four year contract at Molineux.
The wide man, who can play on either wing, made his professional debut for Estoril two years ago - helping the side to promotion into Portugal's top division.
Wolves' technical director, Scott Sellars, is hopeful the youngster, who has been capped for Portugal at under 21 level, can become the latest young talent to achieve great things at the club.
He said: "Chiquinho is a young, exciting and talented player who has been performing very well in the Portuguese leagues during the past few seasons, and if he keeps progressing the way he has done, we believe he can develop into an excellent signing.
“We’ve brought a lot of gifted youngsters from Portugal during the past five years, and many of those have gone on to further their careers and achieve great things here, and we hope the same will happen with Chiquinho.
“With all young players, we have to be patient as he’s got to get used to playing in a new country and a new environment.
"But we will integrate him into the first-team group, and by learning from Bruno, the staff, and his new teammates, we hope he can make the kind of impact we believe he has the potential to achieve.”
The 21-year-old completed his medical at the club before penning a contract that will keep him at the Molineux until 2026.
Chiquinho, who has been on the radar of a number of clubs this season, is excited to link up with Wolves' Portuguese contingent who he admits have inspired him in recent years.
He added: “I’m very excited, but I feel a lot of pressure because it’s a big team, it’s a big club, but it is more important that I come here and do my best.
“It’s a big stadium and I feel a lot of fears because it’s a big team, but I will do my best for the club and enjoy playing here.
“There’s a lot of good Portuguese players in Wolves, and I have been inspired by them. I will also take a lot of advice from them, so it’s good.”
And the winger is looking forward to teaming up with former team mate Toti Gomes - with the pair playing together at Estoril.
He added: “It’s amazing, because we shared the pitch for a few years, so now it’s amazing to share this dream in the best league and at a big club."